CRISC Exam Dumps - Certified in Risk and Information Systems Control

A report of deficiencies noted during controls testing is the best option to inform stakeholders risk decision-making, as it provides an accurate and timely assessment of the effectiveness and efficiency of the organization’s control environment. A report of deficiencies noted during controls testing is a document that summarizes the results of the testing activities performed on the organization’s internal controls, such as design, implementation, operation, and monitoring. A report of deficiencies noted during controls testing should include the following elements:

The scope, objectives, and methodology of the controls testing

The criteria and standards used to evaluate the controls

The findings and observations of the testing process

The root causes and impacts of the identified deficiencies

The recommendations and action plans to address the deficiencies

The roles and responsibilities of the stakeholders involved in the remediation process

A report of deficiencies noted during controls testing helps to inform stakeholders risk decision-making by providing them with relevant and reliable information on the current state of the organization’s control environment. It also helps to identify and prioritize the areas for improvement and enhancement of the control environment. A report of deficiencies noted during controls testing also facilitates the communication, collaboration, and accountability among the stakeholders involved in the risk management and control processes.

The other options are not the best options to inform stakeholders risk decision-making. The audit plan for the upcoming period is a document that outlines the scope, objectives, and methodology of the planned audit activities, but it does not provide any information on the actual performance of the organization’s control environment. Spend to date on mitigating control implementation is a measure of the resources and costs incurred to implement the risk response actions, but it does not indicate the effectiveness or efficiency of the control environment. A status report of control deployment is a document that tracks and monitors the progress and performance of the control implementation process, but it does not evaluate the quality or adequacy of the control environment. References = Internal Control Deficiencies: Identification,Reporting andCommunication, IT Risk Resources | ISACA, Internal Control Testing: Techniques, Types, and Examples

The primary focus of an ongoing risk awareness program should be to enable better risk-based decisions, as this can help the organization to achieve its objectives, optimize its performance, and manage its risks effectively. An ongoing risk awareness program is a process of educating, communicating, and engaging the stakeholders about the organization’s risk management framework, methodology, and practices. An ongoing risk awareness program can help the stakeholders to understand the risk context, criteria, appetite, and profile of the organization, and to identify, assess, treat, monitor, and review the risks that may affect their roles and responsibilities. By doing so, an ongoing risk awareness program can empower the stakeholders to make informed and rational decisions that balance the benefits and costs of risk-taking, and that align with the organization’s strategy and goals.

A risk heat map is a tool that shows the likelihood and impact of different risks on a matrix, using colors to indicate the level of risk. A risk heat map is most commonly used as part of an IT risk analysis to facilitate risk assessment, which is the process of estimating the probability and consequences of the risks, and comparing them against the risk criteria1. A risk heat map can help to visualize, communicate, and prioritize the risks, as well as to evaluate the effectiveness of the risk response actions2. The other options are not the best choices for describing the purpose of a risk heat map, as they are either less specific or less relevant than risk assessment. Risk communication is the process of sharing and exchanging information about the risks among the stakeholders3. A risk heat map can support risk communication by providing a clear and concise representation of the risks, but it is not the main objective of the tool. Riskidentification is the process of finding, recognizing, and describing the risks that may affect the organization4. A risk heat map can help to identify the risks by categorizing them into different domains or sources, but it is not the primary function of the tool. Risk treatment is the process of selecting and implementing the appropriate measures to modify the risk5. A risk heat map can help to guide the risk treatment by showing the risk ratings and thresholds, but it is not the core purpose of the tool. References = Risk and Information Systems Control Study Manual, 7th Edition, Chapter 2, Section 2.1.1, Page 47.

 A business impact analysis (BIA) is a process that identifies and evaluates the potential effects of a disaster on the critical functions and processes of an organization1. A BIA helps to forecast the operational, financial, legal, and reputational impacts of a disaster, as well as the recovery priorities and resources needed to resume normal operations2. A BIA also helps to determine the recovery time objectives (RTO), which are the maximum acceptable time frames for restoring the critical functions and processes after a disaster3. Therefore, developing a BIA is the most important step for an organization to forecast the effects of a disaster and plan for its recovery. Defining RTOs is a part of the BIA process, not a separate activity. Analyzing capability maturity model gaps is a method to assess the effectiveness and efficiency of the organization’s processes and practices, but it does not directly forecast the effects of adisaster4. Simulating a disaster recovery is a way to test and validate the recovery plans and procedures, but it does not forecast the effects of a disaster either5. References = Risk and Information Systems Control Study Manual, Chapter 5: Risk Response and Mitigation, Section 5.3: Business Continuity Planning, pp. 227-238.

 A deterrent control is a type of control that has been implemented by displaying a poster that reads “Anyone caught taking photographs in the data center may be subject to disciplinary action.”, as it aims to discourage or prevent unauthorized or malicious activities by warning the potential perpetrators of the consequences or sanctions. The other options are not the correct types of control, as they are more related to the correction, detection, or prevention of unauthorized or malicious activities, respectively, rather than the deterrence of unauthorized or malicious activities. References = CRISC Review Manual, 7th Edition, page 154.

Authentication is a control that verifies the identity of a user or a system that tries to access a computer system or network. Authentication can be based on something the user or system knows (such as a password or a PIN), something the user or system has (such as a token or asmart card), or something the user or system is (such as a fingerprint or a retina scan). Authentication is a crucial control for preventing unauthorized or malicious access to a system or network, as well as for ensuring the accountability and traceability of the actions performed by the user or system. If the authentication control is compromised, it means that the user or system can bypass or break the verification process and gain access to the system or network without being identified or authorized. This can expose the system or network to various threats, such as data theft, data corruption, data leakage, or denial of service. Therefore, the authentication control has most likely been compromised if a system administrator identifies unusual activity indicating an intruder within a firewall. A firewall is a device or a software that monitors and filters the incoming and outgoing network traffic based on predefined rules and policies. A firewall can help to protect the system or network from external or internal attacks by blocking or allowing the traffic based on the source, destination, protocol, or content. However, a firewall cannot prevent an intruder from accessing the system or network if the intruder has already authenticated or impersonated a legitimate user or system. The other options are not the most likely controls to be compromised if a system administrator identifies unusual activity indicating an intruder within a firewall, although they may be affected or related. Data validation is a control that checks the accuracy, completeness, and quality of the data that is entered, processed,or stored by a system or anetwork. Data validation can help to prevent or detect data errors, anomalies, or inconsistencies that may affect the performance, functionality, or reliability of the system or network. However, data validation does not prevent or detect unauthorized or malicious access to the system or network, as it only focuses on the data, not the user or system. Identification is a control that assigns a unique identifier to a user or a system that tries to access a computer system or network. Identification can be based on a username, an email address, a phone number, or a certificate. Identification is a necessary but not sufficient control for preventing unauthorized or malicious access to a system or network, as it only declares who or what the user or system is, but does not prove it. Identification needs to be combined with authentication to verify the identity of the user or system. Data integrity is a control that ensures that the data is accurate, consistent, and complete throughout its lifecycle. Data integrity can be achieved by implementing various controls, such as encryption, hashing, checksum, digital signature, or backup. Data integrity can help to protect the data from unauthorized or accidental modification, deletion, or corruption that may affect the value, meaning, or usability of the data. However, data integrity does not prevent or detect unauthorized or malicious access to the system or network, as it only protects the data, not the user or system. References = CRISC Review Manual, pages 164-1651; CRISC Review Questions, Answers &Explanations Manual, page 952; What is Authentication? - Definition from Techopedia3; What is a Firewall? - Definition from Techopedia4

The best course of action in responding to the internal audit inquiry is to provide justification for the lower risk rating. This would demonstrate that the risk record was updated based on a valid and documented rationale, such as changes in the risk environment, risk drivers, risk indicators, or risk responses. Providing justification would also help to maintain the transparency and accountability of the risk management process, and ensure that the internal audit is satisfied with the risk assessment outcome. References = Risk and Information Systems Control Study Manual, 7th Edition, Chapter 4, Section 4.2.3, page 184.

The most comprehensive input to the risk assessment process specific to the effects of system downtime is the business impact analysis (BIA). The BIA is a process of analyzing the potential impacts of disruptive events on the business processes, functions, and resources. The BIA identifies the criticality, dependencies, recovery priorities, and recovery objectives of the business processes, and quantifies the financial and non-financial impacts of system downtime. The BIA provides valuable information for the risk assessment process, as it helps to evaluate the likelihood and impact of the risks, and to determine the appropriate risk responses. Business continuity plan (BCP) testing results, recovery time objective (RTO), and recovery point objective (RPO) are not as comprehensive as the BIA, as they are derived from the BIA and focus on specific aspects of the business continuity and recovery strategies. References = CRISC Review Manual, 6th Edition, ISACA, 2015, page 130.